Real Estate Investing, It Isn’t Just for the Boys Anymore

, , , , , , , , , , , , Red Rock Management and Real Estate Investment

When 51 year old stay-at-home mom and part time piano teacher Gena H. from Washington State woke her husband up at 1:15 AM and said “I want to be a real estate investor,” he patted her on the shoulder and said, “that’s nice dear.” In the morning he shared all the reasons he believed it could not work for her. Fast-forward a few years and Gena, who obviously didn’t listen to the husband she adores, is a successful and very profitable investor. She has in her words “dramatically changed the financial course for me and my entire family.”

Stories like these are coming to my attention at a rate like I’ve never seen in my well over 20 years of investing. I’ve been fortunate to watch countless people go from real estate observer to successful real estate investor. But never before has there been such a massive wave of women taking ownership of the household finances using real estate.

In watching this transition, I believe it’s due to a couple of primary factors. First, we all know that the real estate market peaked like never before around 2006, and then the bubble burst and the market crashed. It reminded me of flying down Space Mountain in Disneyland. However, after the bottom comes the inevitable shift in the market, when it begins trending back up as we are seeing now. This is truly a magical time for investors.

Second, I think we are heading into the years of more empowerment of women. I could be criticized for saying this, but I think it’s less about women’s liberation, as that was yesterday’s news. I see it as more that women are just losing any hesitation at all to do anything they want. I think it’s a very positive trend for our country. I watched my single Mom struggle to support my sister and me growing up, so I’m always cheering for the ladies. I think we are entering a whole new era of advancing equality. But that’s for another story.

Jen G., a single Mom, was working in an accounting office with no windows and too little pay each month to support her and her son. Frustrated, stressed and wanting a new path in life, she decided to reinvent herself through real estate investing. Friends and family told her real estate investing was for people with money and experience. Some even expressed resentment and actively discouraged her. Recently, Jen called to tell me: “Just six months after starting, I got to walk into my office and tell my boss I no longer needed her services!” Jen quit her job and has done more than 185 real estate transactions so far and feels she is being the Mom she always wanted to be.

Tammy R. lives in a crazy fast moving market in CA. This is a market where even seasoned investors are afraid to take the plunge. However, this determined Mom of four, who was homeschooling her children when she started investing, refused to yield to her fears. She didn’t listen to her husband who said “it won’t work for you.” Like Jen, she didn’t have a ton of money to start, but researched a method called “wholesaling.” Wholesaling is matching up monied investors with good deals, and making money in the middle. On one transaction alone she made more then she did the prior two years, and she is currently working on her 23rd deal. “You just can’t let the naysayers spoil your dreams” she said when asked about the secret of her success.

Whether you’re in a strongly rebounding large urban market like Tammy, a more rural and smaller city in Alabama that’s coming back at a slower pace like Jen, or somewhere in the middle like Gena in Washington State, it doesn’t matter. The current state of all of these markets is opening up endless opportunities for investors to gain the knowledge to profit and who aren’t afraid to go for it.

Real estate is my life, and with over 20 years of non-stop investing I’ve personally experienced that there is always a profitable strategy that fits the current market cycle. However, the massive spike in real estate, followed by the inevitable and dramatic crash, is setting up a solid rebound. I truly believe this is the greatest time for everyone who would like to secure a better future to get educated, learn from those who are doing it, and jump into real estate investing.

I’m currently doing 30 to 50 deals every month all around the country, in 9 states actually. I’m working with women like Gena, Jen and Tammy, as well as a slew of others who are crushing todays shifting real estate market rather then complaining about it.

Maybe real estate investing is cooler and more possible then you think. All I can say is that the boys better step up.

Follow Dean Graziosi on Twitter: www.twitter.com/deangraziosi

 

 

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FREE Property Management Consultation– CALL 702-622-8668

How Renters Insurance Will Help Cover The Loss of Your Valuables

, , , , , , , , , , , , , , , , , , , , , Red Rock Management and Real Estate Investment

Red Rock Management (www.RedRockManagementLV.com)  encourages all tenants to purchase renter’s insurance.  Many tenant’s inquire as to why we ask them to purchase rental insurance.  Below is an outline by Farmers Insurance as to the importance of having renter’s insurance.

HOW RENTERS INSURANCE WILL HELP COVER YOUR VALUABLES

Imagine a moment you’ve just returned home from a long day at work to find there’s been a fire. Everything you owned has been destroyed: your flat-screen TV, computer, furniture, books, game consoles, CDs, jewelry, collectibles and clothing. Where will you stay until your home is renovated? Who will pay to replace all your belongings? Not your landlord.

A Renters insurance policy can be the answer. It provides coverage to help you to replace your lost or damage items. If you suffer a covered loss, we’ll reimburse you for your lost or damaged items. And if the loss makes your home uninhabitable, we’ll also pay for the additional living costs for hotel, meals and related expenses.

Renters policies are affordable, generally ranging from $15-$25 each month. For less than a dollar a day, you can have valuable insurance coverage!

BENEFITS

– Personal property coverage

– Personal liability coverage

– Additional living expenses

OPTIONAL COVERAGES

– Personal articles floater

– Jewelry, furs, fine arts

 

 

 

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Red Rock Management & Real Estate Investment
www.RedRockManagementLV.com
Info@RedRockManagementLV.com
FREE Property Management Consultation– CALL 702-622-8668

Buying with cash saves cash – and time

, , , , , , , , , , , , , , , , , , , Red Rock Management and Real Estate Investment

An article by Real Estate Agent Leslie Sargent Eskildsen, discusses the differences of Buying a house with cash or taking out a loan.

She writes, “Just recently, a reader asked me about the difference between buying a house with cash and buying a house with a home loan. That’s a great question!

Here’s a rundown of the differences.

Buying a house with cash saves you money. You don’t have to pay for an appraisal. That doesn’t mean you can’t or shouldn’t pay for an appraisal, you just don’t have to.

Buyers using a home loan have to pay for an appraisal. The lender requires an unbiased, licensed appraiser to give a thoroughly researched and documented report on the value of the home so the lender is confident you’re paying the right price and that they are making a sound investment.

A home buyer paying cash also saves on other lender related costs including a credit report, loan origination fee, flood certification, tax service fee (the lender has to be aware of any back taxes owed) lender required title insurance and any points a borrower chooses to pay to bring down the interest rate on the money borrowed.

In addition, a cash buyer is not required to purchase home owner’s insurance.

When you get a home loan, the lender requires evidence of insurance, and you pay for a full year up front.

I’d never recommend not buying home owner’s insurance. However, when you’re buying a house with cash, you can work it out directly with your insurance carrier as to the frequency of payments.

When you are buying with cash, you also save on escrow fees including the loan tie-in fee, the loan documentation prep fee, and the notary fees (you’re not signing anything that needs to be notarized).

The more subtle aspects of buying with cash include the need to prove you have the cash up front with your offer. This means you need to submit, up front, bank statements showing sufficient funds to cover the price.

If you are flush with tons of cash, you may want to keep a bank account that only has a balance large enough to cover the cost of the house and your share of the escrow fee and a processing fee.

You have no need to show the seller how much you have overall.

You get to keep your financial status a secret, as opposed to a buyer getting a home loan. Those who buy with a loan have to provide full financial disclosure to the lender to qualify for the loan.

There’s much less paperwork required when buying with cash. You can also close escrow much more quickly. You do not have to budget time for the appraisal review, underwriting review, management review, and all the time to prepare and review loan documents.

There’s also the advantage of representing less risk to a home seller. If you show the seller the money up front, and if your offer is a figure that is acceptable to the seller, you will probably win out over a buyer who needs a loan. Cash is much easier and less risky.”

 

Source: OC Journal – leslieeskildsen.com.

 

 

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Is property management affordable for single-family rental owners?

, , , , , , , , , , , , , Red Rock Management and Real Estate Investment

Not only is property management affordable, using a property manager can actually increase your property’s overall profitability. Most property managers charge a small percentage of your monthly rent in exchange for comprehensive services that range from finding and screening tenants, to handling emergency maintenance, to keeping the books and preparing year-end taxes.

Source – All Property Management

 

 

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www.RedRockManagementLV.com
Info@RedRockManagementLV.com
FREE Property Management Consultation– CALL 702-622-8668

Now’s the Time to Buy for Some

, , , , , , , , , , , , , , Red Rock Real Estate and Investment Management

Now’s the Time to Buy for Some
For some, now is a great time to buy real estate, especially Las Vegas real estate. Home
values are poised perfectly for an upswing in appreciation. There is a demographic of people
who can really score in this market. According to Yahoo:
“Dual-income customers should definitely buy a home now,” says George Kaiser, vice president
of banking operations for Northbrook Bank and Trust and West America Mortgage Co., its
sister company. “People with assets in reserve and a credit score of at least 680 should buy
as well. Anyone with a credit score less than that will have to verify their income.”

For others it is also a great time to get involved. For some it’s not. If you need help
determining whether or not the Las Vegas real estate market is right for you now get in
contact with your Las Vegas Realtor at www.RedRockManagementlv.com.

 

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Red Rock Management
www.RedRockManagementLV.com
Info@RedRockManagementLV.com
FREE PROPERTY MANAGEMENT QUOTE – CALL 702-622-8668

 

 

Is Your Home Insurance High Enough?

, , , , , , , , , , , Red Rock Real Estate and Investment Management

Is Your Home Insurance High Enough?
The news commonly reminds us of unexpected disaster and loss of home. This Wall Street
Journal article suggests we get our insurance in order. Many of our homes may not be insured
properly for possible issues. We don’t intend to scare home owners but want to point out
that there are ways to verify if the home is properly insured or not.

Las Vegas is known for its storms during the monsoon season. A community can be flooded
quickly. There is a resource home owners can use to determine whether they live in a flood
plain or not. It is a web site with all of the flood zones outlined. Las Vegas Realtors can
provide you with that resource.

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Red Rock Management
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Info@RedRockManagementLV.com
FREE PROPERTY MANAGEMENT QUOTE – CALL 702-622-8668

 

Local Real Estate Markets May Get Involved in Housing

, , , , , , , , , , , , , , Red Rock Real Estate and Investment Management

Local Real Estate Markets May Get Involved in Housing, Literally Buying and Selling Homes
An article in CNN this morning was very intriguing and will likely spark some political
skirmish. As mentioned in the article:

“Under the House plan, the Department of Housing and Urban Development would dole out the
loans and grants based on the number of foreclosures and home prices in an area. Cities
could use the money to buy foreclosed homes, renovate the homes to make them compliant with
housing codes, and resell or rent them.”
The goal is to help keep neighborhoods and the city as a whole in good shape since there are
so many vacant homes on the market. They tend to be run down.

In Las Vegas we’re seeing a significant number of homes that are vacant. There has been
issues with dilapitated homes and associated values. Some Las Vegas real estate agents are
wrapped up in these properties and are able to get good deals on them. However, if buyers
aren’t available it takes some technique to sell these properties. We’ll keep an eye out to
see if the bill passes.

 

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Red Rock Management
www.RedRockManagementLV.com
Info@RedRockManagementLV.com
FREE PROPERTY MANAGEMENT QUOTE – CALL 702-622-8668

Home Buyers Attracted to Lower Home Prices, Not Incentives

, , , , , , , , , , , , , , , Red Rock Real Estate and Investment Management

Home Buyers Attracted to Lower Home Prices, Not Incentives
The Realtor® Magazine published an article in March about real estate purchaser preference.
They claim that although incentives are attractive, lower home prices draw more interest.

Many Las Vegas real estate agents don’t oppose incentives and have found success with them.
However, one major factor that affects buyer interest is that fact that buyers who work with
Realtors® typically use the MLS home search. There is no search criteria for “incentives” or
similar terms. Potential buyers have to stumble upon incentives as they peruse and the odds
of being found are lower. However, most buyers do use price as a criteria and if a seller’s
house priced better than its competition it will draw more views. The important thing in a
tough selling market is to get as much attention as possible.

According to the article:
“The single thing that’ll drive buyers and salespeople to a property is that it must be
priced at today’s market value. If that happens, you’ll get buyers at the property, and
you’ll get practitioners there, too, because they believe buyers will buy.”

 

 

 

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Red Rock Management
www.RedRockManagementLV.com
Info@RedRockManagementLV.com
FREE PROPERTY MANAGEMENT QUOTE – CALL 702-622-8668

 

 

Home Refinancing Attempts Increase

, , , , , , , , , , , , , , , , Red Rock Real Estate and Investment Management

Home Refinancing Attempts Increase…

Recent interest rates cuts have motivated many to attempt to refinance their property.
However, many may be unable to do it successfully. Mortgage lenders are looking for
considerable qualifications. The house must have equity, the borrower must have good credit
and work history, and the house needs to appraise well in the real estate market they live
in.

Many have tried to lock in better rates and a better term for their home but are unable to
because of the previous loan they acquired. To find out if you qualify contact your lender
or your real estate agent who can refer you.

 

 

 

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Red Rock Management
www.RedRockManagementLV.com
Info@RedRockManagementLV.com
FREE PROPERTY MANAGEMENT QUOTE – CALL 702-622-8668

Consider This When Investing

, , , , , , , , , , , , , Red Rock Real Estate and Investment Management

Consider This When Investing in Real Estate

 

The real estate market is improving in many parts of the country. So if you’re thinking about investing in real estate, now might be the time to get your feet wet.

Real estate investing can be quite profitable. Some investors make a comfortable living buying and flipping properties — putting tens of thousands of dollars in their pockets in only a few weeks. Meanwhile, other investors take a different approach and move into a home they’re fixing up with plans to sell for a profit in two or three years.

No matter the approach you take, investing in real estate generates cash that can go toward the purchase of your new residence, or you can use this money to build your savings account or prepare for retirement. It doesn’t take special skills to start investing in real estate, but there are several factors to consider before making your first purchase.

1. What are your plans for the property?

Determine your plans for the property before investing in real estate. Will you live in the home, fix up the property and sell a few years later? Will you get tenants and make the home a rental property? Then again, maybe you’re more interested in buying and flipping real estate for a quick profit.

There are different ways to proceed with investing your money, time and energy into a property. Weigh the pros and cons of different types of real estate investments and choose the one that best fits your situation.

2. Which mortgage option is right for you?

Real estate investors can choose from different types of mortgages depending on their plans for a property. For example, an adjustable-­rate mortgage might work if you’re buying and flipping real estate, or if you plan on living in an investment property short-­term.

Adjustable-­rate mortgages have an initial fixed­-rate period up to five years followed by annual rate adjustments. A rate adjustment means the mortgage interest rate increases or decreases based on the market.

Typically, adjustable-rate mortgages start out with a rate lower than most fixed­-rate mortgages. If you’re keeping an investment property for a short span of time, there’s the option of getting an adjustable-­rate mortgage and selling the property before your first rate adjustment.

On the other hand, if you’re keeping an investment property long-­term, consider a fixed-­rate mortgage so your interest rate and monthly payment will remain the same for the duration of the term.

3. How much cash do you need to fix up the place?

Investing in real estate can require sizable cash, especially since properties you purchase might need renovations or improvements. If you’re buying a foreclosure that will be your primary residence and a future investment property, you might qualify for the FHA 203(k) loan.

This loan provides funds to purchase the property, plus funds to improve the condition of the property. On the other hand, if you’re buying and flipping a property, the bank can help with investment property loans.

Make sure you schedule a home inspection before buying real estate so you’ll know what to expect cost-­wise with fixing up the property.

4. Is the property is an ideal location?

You can have a lovely property, but if it’s located in an undesirable part of town, it might take longer to find a buyer or tenant. Location matters in real estate. Some people only look for properties in good school districts, and others prefer buying or renting homes near an interstate or major highway for easier access to work.

When looking for properties to buy, pay attention to school ratings, nearby amenities, and consider whether the property’s in a safe, quiet neighborhood.

Real estate investing can be profitable, but you shouldn’t jump into investing without doing your homework. Buying and financing properties is easier when you know what to expect, and when you can build a relationship with a knowledgeable mortgage officer and realtor.

Source: Evan Potter – Total Mortgage

 

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Red Rock Management
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Info@RedRockManagementLV.com
702-503-1282

 

 

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